I9V(jm m1 P56 [Compatibility Mode] Home Insert Draw Design Layout References Mailings Review View 9 Tell me 13 Share 3 Comments ~X Times New v 12 v A\" AV A v A I: v ;: v ' . V [B a o ' *- AuBchDdEe AaBchD AaBchDdE AmchDdr AaBchDdEe AaBchD AaBchDdE )1 A V paste $ B I U v ab x x' A V I v A v E E Emphasis Heading1 Normal Strong Subtitle Tille Naspacing Styles Dictate 1 :1 / Pane 2. (a) Please complete the graphs below by labeling every axis and curve. (b) Home's government institutes a temporary tax cut to stimulate the economy causing a temporary increase in Home's money demand (from MDIH to MDZH); prices do NOT have enough time to adjust. Add this policy change and its impact by drawing additional curves etc. on the graphs below. How will this policy change affect the spot rate of Home's currency, assuming it's the only change that has taken place? (Write your answer to this last part of the question below the graphs.) 3.The dollar-pound exchange rate has increased over the long run. What could have happened to cause the exchange rate to change? Choose and explain one possible reason. Page 1 of 2 303 words U3 English (United States) __V+ 170%